Archer Exploration unearths widespread copper and gold anomalies

Published at Jun 26, 2018, in Mining

Archer Exploration (ASX:AXE) this morning unveiled the latest results from its ongoing exploration program at Blue Hills, located approximately 60 kilometres east of the township of Jamestown and 30 kilometres south of the trans-Australia railway line.

New assay results from soil samples taken in 2017 reveal widespread gold anomalism coincident with previously discovered copper at Blue Hills, with gold grades up to 0.42 grams per tonne.

AXE’s “intrusive style” geological model is supported by the presence of copper-gold mineralisation and results from an airborne electromagnetic survey.

The fact that the gold and copper anomalies extend over multiple kilometres also crystallises Blue Hills’ status as a district-scale discovery.

Blue Hills has now been upgraded from a copper-only project to a copper-gold project.

With three prospects comprising more than 8 kilometres of mineralised strike, AXE has the potential to discover a number of significant copper-gold occurrences within the Blue Hills Project area.

AXE Executive Chairman, Greg English, said: “These results add further support to the presence of a significant district scale copper and gold mineralisation. Coupled with the interpreted buried intrusions nearby and early RAB results, the Blue Hills project is continuing to produce encouraging results.”

AXE does remain a speculative stock and investors should seek professional financial advice if considering this stock for their portfolio.

Blue Hills: a bit of background

In late 2017, AXE completed a comprehensive geochemical sampling program at Blue Hills with more than 4,700 samples collected over an area of 40 square kilometres. The results of this work confirmed the size and continuity of the Hood, Hawkeye and Katniss prospects.

These three prospects are situated on two large, parallel copper mineralised corridors that cross-cut the geographical area. The higher-grade copper mineralisation appears to cross several geological formations rather than being constrained to one formation.

The Hood anomaly features in one corridor, whereas the Katniss and Hawkeye anomalies are in the other.

Following on from there, AXE completed an airborne electromagnetic survey (AEM) at Blue Hills earlier this year. This confirmed the presence of intrusive bodies at depth. The presence of an intrusive body, located near significant structures that have both copper and gold mineralisation, strengthens the model for sub-surface copper mineralisation in this district.

Other intrusions have also been modelled in the district: one located to the south-east of Katniss (along strike) as well as two others being located further to the NW and NNW of Katniss.

Last month, AXE finished a RAB drilling program to test shallow geochemical targets. A total of 226 rotary air-blast (RAB) holes for 2,661 metres was completed, providing a first pass test of the previously identified soil geochemical anomalies.

The majority of the drilling was focused again on the Hood, Katniss and Hawkeye targets, plus drilling to the southeast providing coverage of the geophysical anomalies at Ygritte and Legolas. The RAB drilling not only identified copper mineralisation in the bedrock, but also led to the discovery of associated widespread gold mineralisation. This discovery led, in turn, to AXE resubmitting previous soil surveys from Hood, Katniss and Hawkeye to assay for gold.

Gold soil sampling

The previously collected soil samples were assayed for gold with results received for most of these samples. Results to date have recorded elevated gold at each of the prospects, with values as high as 0.42 grams per tonne (420ppb) at Hood. This compares to the areas surrounding the prospects which have background gold readings of close to 1ppb (0.001 grams per tonne).

The gold in soils appears to be related to copper. Currently, the gold anomaly is still open to the north-east along strike at Hood, with further results expected in the coming weeks.

The location and orientation of the copper-gold anomalies relative to the nearby intrusion, coupled with the highly conductive electromagnetic signatures, over long strike lengths, provide ideal targets for possible economic mineralisation within 200 metres of the surface.

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

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